A new Fable game is reportedly in the works at Playground Games

Sources: Microsoft plots Fable return

Work is underway on a brand new, big-budget Fable game, Eurogamer can reveal.

Fable franchise owner Microsoft has tasked UK developer Playground, which makes the Forza Horizon racing games for Xbox and PC, with creating this new Fable, sources close to the project have told Eurogamer. Microsoft said in a statement it does not comment on rumour or speculation.

We've heard the new Fable is planned as a story and character-focussed open-world action RPG. A significant investment in its development is also planned, with some 200 people set to work on the game at Playground's newly-established second office in Leamington Spa, Warwickshire.

Don't expect to play this new Fable any time soon, however. We've heard it's early days in terms of development, with Playground currently staffing up the team from double digits to its triple digit target.